Toshiba mulls boosting production, jobs at Laguna plant

Posted at 07/11/14 5:08 PM

MANILA, Philippines - Japanese electronics giant Toshiba Corp. is considering increasing its production output in its Laguna plant as it aims to grow its solid state drive (SSD) manufacturing operations, its president and chief executive Hisao Tanaka said on Friday.

Tanaka said the Japanese electronics firm is looking to expand production of SSD units, which began operations last year.

“We’d like to expand more in terms of volume of production, but it depends on the customer, and whether Toshiba’s products are competitive against the competitor. So if that happens, we’d like to expand the production itself,” Tanaka said in a press conference during his visit to the Philippines.

“No definite volume yet, but year by year, we’d like to expand business more especially on the SSD because it is a rather new product compared to the hard disk drive,” he added.

Toshiba Corp. president and CEO Hisao Tanaka

The Toshiba Information Equipment Philippines (TIP) at the Laguna Technopark in Biñan is a manufacturing center of SSD and hard disk drives (HDD) for the global market.

HDD and SSD are data storage devices used to store and retrieve digital information.

Tanaka said expanding production of these devices may not necessarily mean building more facilities at the plant site.

“Rather than expanding the building, efficiency in production is more important,” he said.

Tanaka said the TIP facility produces an estimated 50 million units of HDD and SSD, and still has the capacity to grow at least 20 percent.

TIP, the seventh largest company in the Philippines in terms of revenue, rakes in annual revenues of about $2-3 billion a year.

Toshiba is posting annual sales of $63 billion worldwide with 10 percent of all its electronic exports coming from the Philippines.

There are more than 8,000 workers currently employed at the TIP plant, but Tanaka said this figure may also increase depending on production and sales growth.

“Depending on the volume of production, we may need more people. Depends on the kind of growth we can achieve in the production, we need to employ more people, but no definite plans yet,” said Tanaka.

Toshiba Corp. president and CEO Hisao Tanaka

Tanaka joined Toshiba in 1973 and was named president and chief executive officer in June 2013.

He lived in the Philippines from 1996 to 2000, and was present for the inauguration of the TIP in 1997.

“My four years in the Philippines made the foundation of my career. Even as president and CEO, my years in Philippine operations remind me the importance of teamwork and sharing information and how to think together in achieving targets,” he said.


Toshiba has a positive outlook for emerging markets in the next three years, and expects sales ratio in these economies to grow by 2016.

Toshiba said Southeast Asia will be one of the main growth regions for the firm. The Toshiba group currently has 80 affiliates in Southeast Asia, employing 20,000 people, approximately 10 percent of Toshiba’s global employment.

The firm is looking to end 2014 with $67 billion in global net sales, up from the $65 billion posted in 2013.

In 2015, sales are seen to continue to rise to $70 billion, and settle at $75 billion by 2016.